EU admits lack of data on illicit tobacco trade as black market spreads
An EU special report finds no comprehensive assessment of tax losses from illegal tobacco, noting that black-market dealers operate in almost all member states.
A recent EU special report highlights the absence of a solid evaluation of the financial impact of illicit tobacco, even though the trade is active in almost all member states. Authorities acknowledge that the existing anti-illicit-tobacco effort falls short and set out a timetable for regular market-size assessments by 2029 and stronger coordination among countries. Academic John Coxhead described the trade as run by ruthless organised crime, stressing that policymakers cannot fund adequate enforcement without reliable data.
In the United Kingdom, a KPMG analysis found that 45 % of cigarettes are consumed without tax, prompting calls for more Trading Standards officers. The report also outlines objectives to mitigate fiscal damage, while Prime Minister Andy Burnham said re-joining the EU remains a future option.
Why it matters
Accurate data are essential for EU and UK authorities to target resources and protect revenue from illegal tobacco sales.
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